In 2019, a persistent economic slowdown is restricting buying, but a long-term investment in the stock markets can reap sure-shot gains.
In contemporary times, the bulk of the world economy is digital-ridden-accumulation-of-stocks, crypto-currencies and theoretical based valuation of assets. Thus, assessment before assorting the best venture for investing your well-merited savings becomes imperative. With the current cash crunch leaving us with no bandwidth to splurge. Investment for future this Diwali seems a sensible option to beat the economic slowdown in 2019.
Comprehending why stocks are the preeminent investment choice in these times of recession needs recognition of a few facts. The inflation-adjusted world GDP stood at 66 trillion USD in 2010. Today, it accounts for more than 87 trillion USD in 2019. The growth, when put into perspective, is staggering at more than 2.5% per annum. In 2019, it stands at 2.98%.
Technology Investment and Rise in Entrepreneurship: Silent feeders to the growing economy
In spite of persistent signs of a perpetual slowdown all decade, the world economy has grown substantially. The growth is majorly fuelled by Investment in Capital and Entrepreneurship.
India has witnessed remarkable technological advancement and rapid growth in the service sector. Moreover, India has witnessed rising levels of entrepreneurship. The decade perhaps belongs to these start-up founders for keeping hopes alive.
Why Investment in the Stock Market makes sense?
Despite the slowdown, the stock markets of the world always recover from any crashes. Moreover, more than 200 companies get listed on stock exchanges every year.
This, in 2019, makes long term investment in shares the hottest harvest for sure shot yields in the long run, across markets. There are several advantages of investing in commodities in the long run. Its a safer option compared to traditional investments in real estate and gold.
Advantages of Investing in Stocks
Minimum Investments guarantee Similar Results
To invest in stocks, you do not need lakhs and crores of rupees. Investments can be as low as few hundreds or lower thousands every month. Small yields can bring substantial returns similar to major investments.
Begin by investing with any small amount you deem fit. You don’t need lakhs to prepare for a promising future.
No cap on revenue
When it comes to the stock markets, there’s no capping to your profits. Once you begin investing through mutual funds, saving schemes, and directly, the risk-free approach can build a substantial portfolio.
Over the years, your investments will grow through thick and thin. Hundreds can turn into lakhs, although it takes some time.
Investing in the market is not an Expert-only affair
Learn as you grow. Today, people of all ages and strata invest in the market. Careful risk-free planning does not need any prior knowledge, experience or qualification.
There are plenty of banks, investment firms and funds out there who are doing all the analytical work. You just have to understand what’s best for you.
Monitor at will and always be in control
Your investment portfolios are always available and under your control. In the digital age, monitoring and reacting to stock market fluctuations is no more an expert’s task. In fact, monitoring today is as easy as checking the latest social media updates.
With a DEMAT account, you can keep observing the trends and embark on your decisions at will. So, most funds can be encashed within 24-72 hours of your request.
Be patient, brave and persistent
The promise of the Stock Markets can seem to deceive from time to time. Markets are highly volatile in the short-term. This makes several analysts also compare an investment in stocks with ‘playing with fire’.
If India does reach the magic $5 trillion number, investments would have grown by almost 200%.
However, what seems volatile in the short-term stabilizes in the longer run. India’s economy is currently facing a crisis. By 2029, India may not reach the ‘$5 trillion economy vision’ promised by PM Narendra Modi with a deadline of 2024. Investments made in 2019 will still give substantial returns, considering the economy stands today at $2.72 trillion.
Beat the slowdown by investing in a better future
In 2019, the commencement of businesses and economic development feels more tranquil than ever. However, India is climbing up in the ease of doing business index. Start-ups and businesses also have a relatively easier and more supportive environment to prosper.
Furthermore, increasing FDI and maturing markets are positive. It is inspiring and also encouraging more and more global corporations to look for ways to enter India. So, all these are immensely positive signals for the stock markets. Therefore, investment in stocks in the current era is not only beneficial and vastly profitable. Being patient and motivated is key.
Stock market investment is an evergreen opportunity in the long term despite the economic slowdown in 2019. So, when the time comes for the economy to boom, expanding markets will take you along. Happy Diwali!